Enterprise Financial Flexibility Measurement and Evaluation Study -- A Case Study of Manufacturing Enterprises in Jiangsu and Zhejiang Provinces

• 1、Management School, Wuhan University of Science and Technology, Wuhan, 430065
• 2、Washburn University,Topeka, 66621

Abstract：In recent years, the financial development is tending to be more flexible instead of rigid and the scope covers the financing, management, investment and profit distribution of financial activities in four aspects. Based on such appeal, this paper firstly analyzes the concept and characteristics of financial flexibility theoretically. Then it is researched from the financial flexibility and EVA rate which is no longer confined to theoretical knowledge analysis, but to the mathematical model to verify the relationship between them. Using multiple regression analysis in this process. At the same time, after obtaining a large degree of correlation between them, the paper establishes a mathematical function model to show the correlation degree between them more accurately. What\'s more, the degree of financial flexibility is divided into five grades according to the low to high level. Finally, this article applies the result of this study into the research of manufacturing enterprise financial flexibility in Jiangsu and Zhejiang province which means that it gives more reasonable and operable suggestions in practice of the enterprise financial flexibility.

Keywords： financial flexibility Jiangsu and Zhejiang provinces EVA rate modeling analysis